Growing healthcare demand, import dependence and government backing are prompting investors to pursue scalable medical device makers and potential roll-up opportunities in India.
India’s medical devices industry is drawing stronger interest from private equity firms as the country’s healthcare needs expand and the market remains heavily reliant on imports. Investors are increasingly looking at manufacturers that can scale quickly, broaden their product ranges and benefit from a sector that is still relatively fragmented, creating scope for consolidation and operational improvement.
That opportunity has been sharpened by recent activity around Romsons and by reports involving BL Lifesciences. Singapore-based Quadria Capital has been linked with a strategic deal involving Romsons, while other reports have suggested there could be competition for a controlling stake in BL Lifesciences, with Romsons and KKR-owned Healthium Medtech among the parties mentioned. The emergence of such transactions suggests that larger investors are beginning to view the sector not just as a defensive healthcare play, but as a platform for growth and roll-up opportunities.
Policy support is also helping to make the sector more attractive. India’s National Medical Device Policy 2023, introduced by the government in May 2023, aims to reduce import dependence and lift the country’s global market share in medical devices to 10% to 12% over the next 25 years. The policy framework includes easier regulation, infrastructure development, support for research and development, investment promotion, skills development and brand-building to strengthen domestic manufacturing and innovation.
For private equity firms, that combination of government backing, rising demand and a still-nascent industrial base presents a long-term case for investment. Industry observers say the market’s structure could allow stronger domestic companies to emerge through acquisitions and expansion, potentially reshaping competition in India’s healthcare technology segment and reducing the country’s reliance on imported equipment over time.
Disclaimer: This article is intended to inform and educate, not to recommend or endorse any financial product, investment or strategy. Please consider your own financial circumstances and seek professional advice where appropriate before making financial decisions.
